This weekend marks the summer solstice and the official start of summer with the longest day of the year. What does this mean for buyers other than a little more daylight to keep looking for your next place? Well, it means competing in a hot summer real estate market. Mid-June has shown a continual surge of buyers in the Albuquerque area creating a definite supply and demand issue with more buyers than there are homes on the market. In some hot neighborhoods we have seen lines out the doors just to see a house for a showing and multiple offer situations.
What should you be considering in a REALTOR as a buyer? You should look for a real estate agent that is an expert negotiator. If you enter into a multiple offer situation you want a real estate agent who knows how to craft an offer that stands out and gets the attention of the seller and the listing agent presenting it. I recently represented a seller on a multiple offer situation and items that may have seemed inconsequential before, like earnest money, deadlines, and who pays for inspections are all things to consider.
So, why are we seeing so much competition among buyers in the Albuquerque real estate market? Likely because of record low mortgage interest rates. On average for a buyer with good credit, the average is somewhere around 3.3 % (lower on some loans and with other qualifiers). Low mortgage interest rates make for another strong motivator for first time home buyers, or any buyer, to lock in a low rate and get into their dream home. As a buyer, you should start the pre-qualification process with a trusted lender and see what your rate could be and how much you are qualified for. This, along with a real estate agent you trust can help prepare you to enter into this competitive market.
Don’t be scared to enter into this hot summer market. With the right real estate agent by your side you can find and get into your dream home. Be sure to do your research. Take time and consider who you want to work, maybe not just the first agent who pops up on Zillow. Find a REALTOR who can negotiate, knows the hot real estate market, and is eager to get you into your next home. If you are looking to buy in the greater Albuquerque area, reach out to me today!
Elizabeth Benedict is an Associate Broker and REALTOR® at ERA Sellers and Buyers Real Estate in Albuquerque, New Mexico. She holds a Masters in Literature from the University of New Mexico. When she is not helping her community buy and sell houses she is usually writing.